If agreed by the council’s cabinet, the local authority will work with local businesses and community organisations to deliver regeneration projects.

A minimum amount of £100,000 has been suggested for principal towns and £50,000 for local centres.

Projects could include transport and car park upgrades, store front schemes, signage and incentives for businesses.

Two project managers will be recruited in January to engage with the community and the programme is expected to commence in April.

The funding will be awarded on a competitive basis through a commission panel to ensure approved projects are value for money and provide the best results for the town.

Cllr Jenny Platts, cabinet spokesperson for communities, said: “This is an exciting and imaginative approach which will help to deliver the improvements that residents want to see.

“We’re committed to making sure this programme works directly with communities to deliver the best possible outcomes.

“The programme will encourage investment which will continue to reap the benefits for the people and businesses in district towns for years to come.”